Dangote Rice: Video Shows Alleged Production as $1bn Investment Moves Towards Reality
- A video shared on X showed what appears to be rice processing at a Dangote facility, sparking fresh interest in the group's long-delayed rice business
- Dangote announced a $1 billion integrated rice production project in 2014 covering several Nigerian states, but construction announcements followed for years
- The Jigawa State Government's investment tracker, updated in September 2026, listed the Dangote Rice Mill in Hadin as operational with a 32-tonne-per-hour capacity
PAY ATTENTION: Find it fast with our new search feature at Legit.ng!
Legit.ng journalist Dave Ibemere has over a decade of experience in business journalism, with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
A video circulating on X has drawn renewed attention to Dangote Group's rice business, showing what appears to be active rice processing at one of its facilities more than a decade after the project was first announced.
The footage comes 12 years after Africa's richest industrialist, Aliko Dangote, committed to spending $1 billion on commercial rice farming and processing across Nigeria.
Source: Getty Images
The project was designed to cut the country's reliance on imported rice and build a large-scale domestic supply chain.
Dangote's $1 billion rice investment
Dangote Group signed a memorandum of understanding with the Federal Government in August 2014 to invest $1 billion in integrated rice farming and milling across states including Jigawa, Kebbi, Niger, Kwara and Edo.
Two years later, the company launched an 8,000-hectare rice outgrower scheme in Hadejia, Jigawa State, supplying participating farmers with improved seeds, fertilisers and technical support, and committing to buy their harvested paddy for processing.
By February 2017, the outgrower scheme had been expanded to 25,000 hectares across 14 states. The company set a target of 225,000 metric tonnes of milled rice by the end of that year, with an ambition of reaching one million tonnes annually.
Years of delays before tangible progress
Construction announcements followed over several years without matching production results. Dangote laid the foundation for a processing plant in Hadin, Kaugama Local Government Area of Jigawa State, in March 2018. The facility was initially designed to handle 16 tonnes of paddy per hour.
Read also
Adamawa governor Fintiri visits Canadian high commissioner, seeks education and energy deal
In July 2025, Dangote said Niger State had joined Jigawa, Sokoto, Kebbi, Kano and Nasarawa as locations with rice mills under construction. By November 2025, the group outlined plans for mills across five states, with a combined annual processing capacity of 1.5 million tonnes.
To secure raw materials, Dangote Rice Limited signed a N1.8 trillion paddy rice supply agreement with Niger Foods Security Systems and Logistics Company in July 2025. The 10-year deal requires Niger State to develop 25,000 hectares of commercial rice farms and support 50,000 local farmers.
In May 2026, Dangote confirmed the company had committed to purchasing one million metric tonnes of paddy rice from Niger Foods over the life of that agreement.
Source: Getty Images
Is the mill now running?
An investment tracker published by the Jigawa State Government and updated on September 10, 2026, lists the Dangote Rice Mill in Hadin as operational.
The facility is recorded with a processing capacity of 32 tonnes per hour, equivalent to roughly 280,000 tonnes annually, and is linked to commercial cultivation schemes around Hadejia and Kafin Hausa.
That listing marks a shift from previous announcements that continued to describe the mills as being under construction. However, the stated capacity reflects what the facility can process, not its current output or utilisation rate.
The video circulating on X could point to further progress, though the location, date and scale shown in the footage have not been independently confirmed.
Rice dealers adjust rates
Earlier, Legit.ng reported that rice prices in Lagos have recorded fresh changes, with some imported varieties becoming more expensive while locally manufactured rice maintained its previous price.
Data for October shows that a 50kg bag of imported long-grain rice sells for N53,375, compared with its September average of N53,281.25.
This represents an increase of N93.75.
Source: Legit.ng
